Apple blocks Fortnite app in EU amid escalating feud with Epic Games

Apple blocks Fortnite app in EU: Apple intensified its dispute with Epic Games on Wednesday by preventing Fortnite video-game maker from launching its own online marketplace on iPhones and iPs in Europe.

two companies have been embroiled in a legal battle since 2020, when Epic Games accused Apple of charging up to 30 per cent commissions on in-app payments on its iOS devices, violating US antitrust rules.

latest clash between Epic and Apple coincides with Apple's challenges regarding subdued iPhone demand in China. Apple's stock has fallen 12 per cent this year, lagging behind or major tech companies in US.

Regulatory and competitive pressures, including efforts by Epic, threaten Apple's profits and control over its ecosystem.

European lawmakers are enforcing Digital Markets Act (DMA), which compels Apple to allow third-party marketplaces on its devices starting this week.

Brussels antitrust regulators fined Apple 1.84 billion euros ($2 billion) on Monday for impeding competition from music streaming rivals through App Store restrictions, marking Apple's first-ever penalty for breaching EU rules.

Epic sought to leverage DMA, but Apple blocked its efforts on Wednesday, citing past breaches of contract in ir ongoing legal battle.

Apple terminated a new developer account Epic created in Sweden to reintroduce Fortnite and or games to European iPhones via its own game store. Under new European law, Apple must permit third-party stores on its devices.

Apple stated it has "sole discretion" to terminate any Epic Games developer account due to ir "egregious" breaches of developer agreements.

Epic accused Apple of eliminating one of its biggest potential competitors to Apple App Store, alleging a violation of DMA and asserting that Apple hinders true competition on iOS devices.

European Commission, EU's executive body, did not immediately comment.

In January, Apple proposed changes to comply with certain DMA conditions, including allowing alternative app stores on iPhones and offering an opt-out from in-app payments system, with a "core technology fee" of 50 euro cents per user account per year for developers who join new regime.

(With Reuters Inputs)